Gary Bembridge, CPX Interactive’s new EVP of Sales, caught up with his former colleague, Moritz Loew, MSNBC’s Senior Director of National Sales, at the IAB Leadership Summit. The two discussed the value of the event, Loew mentioning the collective brainpower, and the ability to connect with content providers and context providers, as major benefits of attending. Loew also touched on the role of digital in a company’s overall marketing strategy, and MSNBC Interactive’s best practices.
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After his keynote speech at the IAB’s Annual Leadership Meeting last week, IAB Chairman Dave Moore took the time to speak with CPX COO & President, Rob Rasko. Moore talked about the event, his first as chairman, and the great opportunity to network, exchange ideas, compare problems and seek solutions together. He discussed the issue of self-regulation and the importance of educating legislators about how the Internet works, stressing that, especially in an economy that is still recovering, the last thing the industry needs is legislation that hurts business.
In addition to serving as Chairman for the IAB, Moore is also Chairman and Founder of 24/7 Real Media. When asked how 24/7 plans to affect the market in 2010, Moore referred back to a prediction he made in his keynote: that demand side platforms would become a service to every major agency. He discussed 24/7’s position as the inventors of the first demand side platform, known as B3, before the term was even coined, and the growth that platform has already experienced. This year, they plan on continuing to play a major role in driving the WPP digital strategy.
Rasko asked Moore to weigh in on the importance of service versus technology, and he explained that the two are intertwined: technology drives the effectiveness of a product. He also talked about integrating technologies and making them available on a seamless basis with the goal of being able to target as well, if not better, than anybody else in the industry. Moore believes that this integration and seamlessness would also be extremely helpful in dealing with different types of ad formats. In terms of more intrusive ad formats, which continue to become more prevalent, Moore feels that consumers will become comfortable with them over time. He likens their initial dislike to the first time radio and television programs were interrupted by advertisements, and stresses that although it will be an adjustment, consumers will learn that they have to accept it if they want to continue to get content as inexpensively as they have been getting it in the past.
Touching on a couple of the things IAB President, Randall Rothenberg, talked about in his interview with Rasko, Moore discusses the Networks and Exchanges Committee and the issue of free versus premium content. He explains that the major objective of committee’s recently established guidelines is to give advertisers additional comfort and insurance that their ad is going to be run in the right type of environment for their product. When it comes to pay walls, Moore supports premium content, and believes that providers need to find other ways to generate revenue outside of advertising. Destination sites, he says, need to figure out new and different ways to syndicate their content so they can reach greater audiences.
Overall, Moore is looking forward to the future. He calls this the beginning of the ‘Golden Age of Internet Advertising,’ and is very excited to be a part of it.
Last week, the IAB held its Annual Leadership Meeting: Ecosystem 2.0. CPX Interactive recognized that this would be a great opportunity to hear from the thought leaders in the industry, and was glad to sponsor Scribe Media’s video coverage of the event. CPX COO & President, Rob Rasko, had a chance to speak with Randall Rothenberg, President of the IAB, on a variety of topics.
Rothenberg looks forward to 2010 as a year of economic recovery. He believes that agencies and advertisers will be forced to take digital more seriously, despite their fears, as it becomes more mainstream.
He discusses two important growth areas for 2010, which he considers on the opposite ends of the spectrum. The first is an increased focus on mobile. Rothenberg cites the acquisition of AdMob by Google, and Quattro by Apple as evidence of a shift in focus. CPX can attest to this shift firsthand, as we have recently formed a partnership with Nexage to expand our reach to WAP sites and mobile apps. What Rothenberg finds most interesting is that mobile devices are being viewed by marketers as the bridge between brand advertising budgets and consumer advertising budgets.
The reinvention of the television screen as a fully interactive HD device is something else Rothenberg looks forward to this year. He believes that as the interactive television develops, it will cause brand advertising to flow like “nobody’s business” into interactive media. Rothenberg explains that companies and executives are starting to adapt to the obvious reality that the Internet is a disruptive medium. There is an imbalance between supply and demand that is putting pressure on classic CPM prices for class forms of display advertising, so business models have to change and adapt, he says. The biggest change he sees is the realization among companies that they can either make technology their friend, or it will be their enemy.
A member of the IAB’s Network and Exchanges Committee, Rasko asks Rothenberg about self-regulation, and the guidelines recently released by the committee. Rothenberg reflects on how much the public dialogue and support have increased over the past few years. The IAB is seeing an enormous amount of support for things like their Privacy Matters pro bono ad campaign. At the same time, Rothenberg stresses the importance that every company in the media and advertising/marketing industry (not just interactive) recognize that the threat of really bad regulation by regulators or politicians who don’t understand the business and aren’t necessarily willing to learn. In addition, it is also important for these companies to participate in very strong, very aggressive, independently enforced self regulation in order to prove that they are worthy of the consumers’ trust.
Although he feels like there has been a good deal of support from politicians, Rothenberg has also observed quite a lot of intentional fear mongering taking place in Washington. For example, phrases like “consumer data” are being enflamed, even though it has existed for 50 years. What people aren’t told is that “consumer data” includes such things as IP addresses that allow people to connect to the Internet. Rothenberg also touches on the topic of the dreaded use of cookies. He explains that unless cookies are used, the consumer will be overwhelmed with advertising, and refers to legislation that would limit them as the Spam Reinvention Act of 2010. Both Rasko and Rothenberg understand the need for greater education about the interactive industry. Rothenberg says we have to get a lot better at explaining the basic business operations and technological underpinnings of the interactive business.
In the next part of the conversation, Rothenberg expands on the keynote speech of IAB Chairman Dave Moore, explaining his own view on the direction the Web will take in the future in terms of free and paid content. Rothenberg refers to himself as a “flaming moderate” on the issue, and explains that he has always believed that it doesn’t have to be one or the other. There are thousands of variations and possibilities in terms of hybrid models of free and paid, and there are ways that both can be used to drive positive user experiences and positive business results.
Rasko introduces the concept of “coopetition” that he has observed among the members of the IAB, and Rothenberg expresses his gratitude for the efforts of members working together to help the IAB operate successfully.
Watch the video above for more from Rasko and Rothenberg, and stay tuned for much more from the event in the coming days.
In October, we wrote a post about our support of a great new group called the IAB Long Tail Alliance. Today, we wanted to provide some more information on the benefits of joining. So, here are a few things you should know about the Long Tail Alliance:
Founding members include: AskTheBuilder.com, Condo.com, DailyMe.com, Destructoid.com, Elfster.com, HowStuffWorks.com, Muxlim.com, PetStyle.com, PrimaryGames.com, TopTenReviews.com, VegSource.com and more.
Alliance members have the opportunity to participate in webinars designed specifically for long tail publishers to grow their business.
The next round of webinars begins February 18th and will be lead by IAB member company, TrustE.
The first webinar is entitled: What You Need To Know About Privacy–Challenges and Solutions
Membership in the Alliance is open to any publisher that sells directly, indirectly, or through a network, and has revenues of under $1 million.
Enter the promotional code CPXLTA to reduce the membership fee from $250 to $100!!
Visit the Alliance website to find out more about the IAB and the Long Tail Alliance.
In International news, CPX Interactive had the pleasure of exhibiting in Milan, Italy at the IAB Italy Forum, November 3-4. IAB Italy is known as the most important online advertising event in Italy.
With more than 4,000 attendees and 60 sponsors, the Milano Convention Center was packed with media-owners, advertising agencies, media agencies, researchers and publishers.
This was the second year CPX Interactive attended this event.
“There is a lot more energy here than last year,” said Rob Rasko, President and COO of CPX Interactive.
The CPX Interactive Italy Team includes: Country Manager, Massimo Fontana, Publishing Manager, Cecilia Sandrucci, Sales Director, Marco Viscardi, Sales Manager, Raffaella Doronozo, Sales Account Manager, Mariano De Luca and Marketing Intern, Francesca Alberti.
When the IAB asked CPX Interactive to sponsor a round table dinner in Chicago, we were grateful for the opportunity to listen to what brands and agencies have to say about ad networks. Tonight, CPXers will sit down with agency and brand representatives, from companies like Cars.com, Mindshare, and Procter & Gamble, to discuss “Finding the ‘Just Right’ with Ad Networks.”
The dinner, which takes place at the Landmark Grill, will be facilitated by IAB representatives, as well as a team of corporate and sales executives from CPX. We look forward to a fantastic discussion! Be sure to check back for a recap next week.
The IAB Long Tail Alliance is a new program that focuses on serving the needs of smaller publishers, and making sure that they derive value from their relationship with the IAB. CPX Interactive is a major supporter of the Long Tail Alliance because we believe that publishers of all sizes have a role to play at the table when it comes to issues that significantly affect the industry as a whole.
Benefits of joining the Alliance include:
Learn from the pros in exclusive seminars designed specifically for long tail publishers.
Get invited to special events.
Be part of IAmTheLongTail.com.
Protect your business.
Network with your peers.
Get noticed!
Receive special pricing on insurance, TRUSTe and more. Plus receive discounts to IAB Events and Professional Development.
Participate in Webinars like Legal Affairs Best Practices for Small Publishers on October 23.
From November 3-4, CPX will exhibit at the IAB Forum Milano 2009 in Milan, Italy, hosted by the Italian branch of the Interactive Advertising Bureau. The conference, which will take place at the Milano Convention Center, focuses on the topics of innovation and competitiveness, as well as the role of the Internet for Italian companies. Check back for more information on CPX’s involvement in this event, and watch the video below to see our COO & President, Rob Rasko, speaking at last year’s forum:
Retail advertisers continue to represent the largest category of Internet ad spending, accounting for 22 percent of revenues for the full year of 2008 or $5.0 billion, down from the 25 percent ($5.4 billion) reported in 2007.
Financial Services advertisers represented thesecond-largest category of spending at 13 percent of 2008 full year revenues or $3.0 billion, down from the 15 percent ($3.2 billion) reported in 2007.
Automotive advertisers accounted for the third-largest category of spending at 12 percent of 2008 full year revenues or $2.8 billion, up slightly from the 12 percent ($2.5 billion) reported in 2007.
Computing advertisers represented the fourth-largest category of spending at 12 percent of 2008 full year revenues or $2.7 billion, up slightly from the 11 percent reported ($2.3 billion) for the full year of 2007.
Telecom companies accounted for 9 percent of 2008 full year revenues or $2.0 billion, up slightly from the 8 percent ($1.7 billion) reported in 2007, while Leisure Travel (airfare, hotels & resorts) accounted for 6% of revenues ($1.4 billion) compared to the 7 percent or $1.5 billion reported in 2007.
Media accounted for 5 percent of revenues for the full year of 2008 or $1.3 billion, down slightly from the 6 percent ($1.3 billion) reported in 2007.
Consumer Packaged Goods and Food Products represented 6 percent of full year revenues ($1.5 billion) up from the 4% or $925 million reported in 2007. Entertainment accounted for at 4% of 2008 full year revenues ($917 million), down slightly from the 5% ($1.0 billion) reported in 2007.
As part of ad network’s plan to expand its global footprint and support its position as a thought leader in the online advertising industry, CPX Interactive will sponsor the November 4-5 IAB Forum in Milan, Italy. The ad network’s Italian team is lead by country manager, Massimo Fontana. Fontana and his team will sponsor a booth on the exhibit floor of the Forum as well as lead a workshop reviewing cross-platform opportunities marketing opportunities available to brand and direct advertisers in today’s market.
The full agenda for the Forum can be found HERE (though only in Italian).
